Aura Minerals Inc. · NASDAQ:AUGO
Aura Minerals — Investor Presentation (March 2014)
28 slides from Aura Minerals's investor presentation, Mar 31, 2014
Slide 1: Investor Presentation
Investor Presentation Information as of March 31, 2014 TSX: ORA
Slide 2: Cautionary Notes
Cautionary Notes This presentation is subject to change without notice and does not purport to be comprehensive or contain all the information necessary to evaluate the subject matter discussed herein. Accordingly, this document should not form the basis of, and should not be relied upon in connecti
Slide 3: Corporate Snapshot
Corporate Snapshot Recent Share Price Performance ORA vs. Gold Metrics $0.40 20% $0.35 0% $0.30 -20% $0.25 -40% $0.20 -60% $0.15 $0.10 -80% $0.05 -100% $- ORA GDXJ Spot Gold Stock Info As of March Liquidity As of Dec. Major Est. Ownership 24, 2014 31, 2013 Share Price C$0.19 Cash US$15.4 Million Sha
Slide 4: Investment Highlights
Investment Highlights • Strong Copper and Gold Resource Platform to Support Organic Growth • Executing 2 Transformational Projects: • Aranzazu capacity expansion from 2,600 tpd to 4,500 tpd (addresses scale, efficiency and profitability) • Serrote Copper Project (Significantly De-Risked) • Significa
Slide 5: Upcoming Catalysts
Upcoming Catalysts Aranzazu • Reserve Update (H2/2014) • Plant Expansion (2015 - 2016) Serrote • Equity Partnership (Q2 2014) • Project Financing (H2 2014) • Start of Construction (H2 2014) • Initial Production (Q4 2015) Corporate • Financing (Q2 2014) TSX : ORA 5
Slide 6: 2014 Outlook and 2013 Results
2014 Outlook and 2013 Results Operation 2013 2014 Guidance San Andres Production (oz) 63,811 75,000-85,000 Cash Cost ($/oz) $1,131 $800-$950 Sao Francisco Production (oz) 105,541 75,000-85,000 Cash Cost ($/oz) $1,144 $900-$1,050 Sao Vicente Production (oz) 37,604 5,500-7,500 Cash Cost ($/oz) $1,288
Slide 7: Asset Summary
Asset Summary Aranzazu (Mexico) ¹ Primary commodity: Copper Avg. Production: 30M lbs. per year Avg. Cash Costs: $1.15-1.25 / lb. Life of Mine: 16 years (beginning in 2015) San Andres (Honduras) ² Primary commodity: Gold Avg. Production: 80,000 oz. per year Avg. Cash Costs: $900 / oz. Life of Mine: 1
Slide 8: Strong Copper and Gold Resource Platform to Support Organic Growth
Strong Copper and Gold Resource Platform to Support Organic Growth Transforming from a gold-copper company to a low cost copper-gold producer Copper Gold Estimated Annual Production 2013A 2014E 2015E 2016E 2017E 2018E Aranzazu: 13.623M lbs. in 2013 Ramping up to 18-19.5M lbs. in 2014 Aranzazu Expans
Slide 9: Aranzazu Overview and Outlook
Aranzazu Overview and Outlook Acquired in 2008 - commercial production Location Zacatecas, Mexico achieved in February, 2011 Ownership 100% Achieved full production from mine and mill Project Type Open Pit-Under Ground, throughput in 2012 and 2013 flotation M&I Resources1 588 M lbs. Cu; 390Koz.
Slide 10: Expansion and Upgrade of Flagship Copper Asset, Aranzazu
Expansion and Upgrade of Flagship Copper Asset, Aranzazu Transformation of Aranzazu is ongoing, certain items are on hold pending completion of the Production (pending financing) financing PEA published in August 2012 outlined key improvements Installation of roaster to reduce arsenic content
Slide 11: Aranzazu Capital Projects, 2014 through 2016
Aranzazu Capital Projects, 2014 through 2016 2014-2016 Planned Capital Expenditures (Plant Expansion and Roaster pending financing) MINE DEVELOPMENT, $41 million PLANT EXPANSION, $39 million ROASTER, $33 million Intended to enable access to higher Additional mill, paste-fill plant and Lower tr
Slide 12: Aranzazu Improvements Aimed at Shifting to a Lower Cost Copper Asset
Aranzazu Improvements Aimed at Shifting to a Lower Cost Copper Asset 1 2015E Industry Copper Cost Curve $4.00 $3.60 $3.20 Cash Cost ($/lb.) $2.80 $2.40 Aranzazu $2.00 midpoint cash cost2 $1.60 $1.20 $0.80 $0.40 $0.00 0% 25% 50% 75% 100% Cumulative Production (Percentile) 1. Source: Wood Mackenzie Me
Slide 13: San Andres Overview
San Andres Overview Acquired in August 2009 Location Honduras Generating significant cash flow Ownership 100% Project Type Open Pit, Heap Leach Negotiations completed with local communities enabling enhanced mine P&P Reserves1 784 Koz. development M&I Resources1 1,631 Koz. (includes mineral re
Slide 14: San Andres Key Operating Initiatives
San Andres Key Operating Initiatives Current Initiatives: Significant operational flexibility with two primary crushers Installation and operation of new secondary crusher New water treatment plant and upgraded ADR now operational Successful negotiations with local communities to enable en
Slide 15: São Francisco Overview São Vicente Overview
São Francisco Overview São Vicente Overview Open pit, heap leach, gravity circuit Open-pit, heap leach, gravity circuit Mining expected to continue to end of 2014 Ceased mining in November 2013, minimal production planned in 2014 Key initiatives: Heap neutralization and shutdown activiti
Slide 16: Serrote Provides Valuable Long-Term Option
Serrote Provides Valuable Long-Term Option A wholly-owned development-stage copper-gold Operating Metrics* project which is the Company’s core development Licensing Installation License Granted asset Plant Capacity 7Mtpa Copper Concentrator (flotation) Significant reserve position LOM Production
Slide 17: Peer Comparison – Enterprise Value/EBITDA
Peer Comparison – Enterprise Value/EBITDA 8.0x 7.0x 6.0x 5.0x 4.0x 3.0x 2.0x 1.0x 0.0x Aura Teranga Timmins Lakeshore Luna Source: estimates derived from public information TSX : ORA 17
Slide 18: Peer Comparison – Enterprise Value/Production oz
Peer Comparison – Enterprise Value/Production oz $4,000 $3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 Aura Teranga Timmins Luna Lakeshore Banro Source: estimates derived from public information TSX : ORA 18
Slide 19: Corporate Social Responsibility
Corporate Social Responsibility Aura’s corporate responsibility framework includes four core principles: Protect the environment and the health and safety of people Value honesty and integrity Promote open communication and transparency Strive to continuously improve corporate responsibili
Slide 20: Management Team Overview
Management Team Overview Senior management team focused on development and execution: highly experienced individuals with varied mining, technical, operational and finance skills Jim Bannantine, P. Eng. Rory Taylor, CA President and CEO CFO Joined Aura in October 2011 Joined Aura in March 2012 • Par
Slide 21: Appendix
Appendix Aura Minerals Inc.
Slide 22: NI 43-101 Technical Reports
NI 43-101 Technical Reports Scientific or technical information contained herein was prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”), based on the technical reports set forth below and other information filed by the Company with the C
Slide 23: Reserve & Resource Statement – Copper
Reserve & Resource Statement – Copper Aranzazu Mineral Resources (as of September 1, 2011) Tonnes Copper Copper Gold Gold Silver Silver Category (‘000) (%) (‘000 lbs) (g/t) (‘000 oz.) (g/t) (‘000 oz) Measured 8,338 1.36 250,215 0.82 219 14.06 3,768 Indicated 9,432 1.63 338,523 0.56 171 21.45 6,504 M
Slide 24: Reserve & Resource Statement – Copper
Reserve & Resource Statement – Copper Serrote Mineral Reserves (for Sulphide material as of April 10, 2012) Classification1 Material t (x 1,000) Cu (%) Au (g/t) Magnetite (%) NSR $/t 50,805 Proven2, 4 0.54 0.10 7.09 25.26 Probable2, 3, 4 34,667 0.50 0.09 7.82 22.77 Total Reserves 85,471 0.52 0.10 7.
Slide 25: Reserve & Resource Statement – Gold
Reserve & Resource Statement – Gold San Andres Mineral Reserves and Resources (as at December 31, 2011) Reserve Category Tonnes (000) Au (g/t) Contained Ounces (000) Proven 33,536 0.54 581 Probable 12,227 0.52 203 Total Proven and Probable Reserves 45,762 0.53 784 * Mineral Reserves at cut-off of 0.
Slide 26: Reserve & Resource Statement – Gold
Reserve & Resource Statement – Gold Sao Francisco Mineral Reserves and Resources Mineral Reserve and Resource Estimates as at September 30, 2011* Reserve Category Tonnes (000) Au (g/t) Contained Ounces (000) Proven - - - Probable 10,890 0.91 318 Total Proven and Probable Mineral 10,890 0.91 318 Rese
Slide 27: Reserve & Resource Statement – Gold
Reserve & Resource Statement – Gold Sao Vicente Mineral Reserves and Resources Mineral Reserve and Resource Estimates as at September 30, 2011* Reserve Category Tonnes (000) Au (g/t) Contained Ounces (000) Proven 2,165 0.85 59 Probable 779 0.79 20 Total Proven and Probable Mineral 2,943 0.84 79 Rese
Slide 28: Contact Information
Contact Information Aura Minerals Inc. 155 University Ave, Suite 1240 Toronto, ON M5H 3B7 Canada Ph: +1.416.649.1033 Fax: +1.416.649.1044 Email: info@auraminerals.com